Rule 1: Time and place
Hearings before the Board must be held at the time and place as designated in the notice, except for hearings which are continued. All hearings are open to the public, in accordance with the open meetings law.
Rule 2: Official record
The Board must prepare, maintain, and supervise the custody of an official record in each case which must include a verbatim transcript, if one is prepared, and exhibits, if any, which have been submitted during the hearing and at such time as the record may be open for such purposes. Documentary evidence may be received in the form of copies, excerpts, photographic reproductions or by incorporation by reference.
Rule 3: Ex parte communication
(a) This Rule applies to any ex parte or private communication, written or oral, received by a member of the Board, if:
(1) The communication relates to a contested matter before the Board;
(2) All appellate rights regarding the contested matter have not been exhausted; and
(3) The Board is required by law to make a decision on the matter based on the record before it.
(b) This Rule does not apply to:
(1) legal advice from its attorney or technical advice rendered by an employee of the Board at the Board's request, or
(2) any communication about the status or procedure of a pending matter.
(c) If a member of the Board receives an oral ex parte or private communication, that member must reduce the substance of the communication to writing within reasonable time after receipt of the communication.
(d) The Board must send a written notice to all parties that:
(1) discloses the content of the ex parte or private communication, and
(2) tells whether the Board will consider the ex parte or private communication as a basis for its decision, in accordance with paragraphs (e)(1) and (e)(2).
(e) The Board must include the ex parte or private communication in the record and may:
(1) consider the communication as a basis for its decision after giving all parties an opportunity to respond to the communication; or
(2) decide the matter if the Board expressly finds that it has not considered the communication as a basis for its decision.
Rule 4: Evidence
The Board may admit and give appropriate weight to evidence which possesses probative value commonly accepted by reasonable and prudent persons in the conduct of their affairs, including hearsay evidence which appears to be reliable in nature. The Board may exclude incompetent, unreliable, irrelevant, or unduly repetitious evidence, or produce evidence at its own request. The Board may take official notice of commonly cognizable facts, facts within its particular realm of administrative expertise, and documents or matters of public record.
Rule 5: Cross-examination
Each party has the right of reasonable cross-examination of witnesses who testify, and may submit rebuttal evidence. Repetitious questions and examination on irrelevant matters is not permitted. Cross-examination is subject to reasonable regulation by the Board including designation of specific persons to conduct cross-examination on behalf of other individuals.
Rule 6: Right to counsel
In any case governed by these procedures, all parties have the right to be represented by themselves or by an attorney of their choice. Within 48 hours after being retained by a party, counsel must file a written notice of appearance with the Board and send copies of the notice to all other parties of record.
Rule 7: Powers of the Board in conducting a hearing
In addition to any of the powers granted to the Board by Article 2B of the Annotated Code of Maryland, the Board is empowered to:
(a) Require witnesses to be sworn;
(b) Rule upon motions, offers of proof and receive relevant and probative evidence, exclude incompetent, irrelevant, immaterial or unduly repetitious evidence and give effect to the rules of privilege recognized by law;
(c) Regulate the course of the hearing and allow the record in hearings to remain open;
(d) Dispose of procedural requests or similar matters, including requests for a continuance;
(e) Call, examine, and cross-examine witnesses and obtain and introduce into the record documentary or other evidence;
(f) Request the parties at any time during the hearing to state their respective positions or theory concerning any issues in the case;
(g) Take any action authorized by law or necessary to a fair disposition of a case;
(h) Accept evidence by stipulation of facts;
(i) Schedule, suspend, or continue hearings to a time and date certain with notification to all parties;
(j) Upon its own motion or at the request of an affected party, order that witnesses other than a party be excluded from the hearing room until called to testify; and
(k) Permit additional parties to participate in a hearing as justice may require.
Rule 8: Offer and compromise
When a licensee is notified to appear before the Board for a show cause hearing, the Board may make an offer and recommendation or compromise by which the licensee voluntarily waives the right to the show cause hearing, admits the violation as charged, and agrees to pay a monetary fine, or elects to have its alcoholic beverage license suspended for a specified period, as determined by the Board. All such agreements of offer and compromise must be recorded on a form provided by the Board.
Rule 9: Conduct of show cause hearing
Unless otherwise provided by law, the ordinary but not mandatory protocol for the conduct of a show cause hearing before the Board is as follows:
(a) Disposition of all outstanding preliminary motions and matters;
(b) Opening statements of the parties;
(c) Presentation of factual case of the complaining party; cross-examination of all witnesses;
(d) Presentation of factual case of the responding party; cross-examination of all witnesses;
(e) Presentation of factual case of any other interested party; cross-examination of all witnesses;
(f) Rebuttal evidence of the complaining party; cross-examination of all witnesses;
(g) Surrebuttal evidence of the responding party; cross-examination of all witnesses;
(h) Closing arguments.
Any decision by the Board to follow a protocol other than the ordinary protocol must be given to all parties to the show cause hearing at least 2 weeks before the date of the hearing.
Rule 10: Failure to appear
Upon the failure or refusal of a responding party to appear at a hearing, and upon finding that such party had timely legal or actual notice of the hearing, the Board may receive evidence from the complaining party and decide the case as if all parties were present.
Rule 11: Decisions
(a) The decision of the Board must be made on the basis of all evidence of record. The Board must prepare and issue a written resolution which contains a detailed statement of the grounds and findings forming the basis for the decision and conclusions of law, and the vote of each member of the Board on the decision.
(b) A copy of the resolution must be forwarded to the applicant or licensee and to all persons who request one in writing or on the record. The resolution will be hand-delivered; or sent by both certified mail, return receipt requested, and first class mail, postage prepaid. In the case of a denial, suspension or revocation, or fine in lieu of suspension or revocation, of a license, the Board must inform the applicant or licensee in writing of the procedures for an appeal.
Rule 12: Suspension/Revocation Notices, Posting Of - Other Closing Notices Prohibited
If the Board suspends or revokes the license of any retail licensee, the Board must post a notice on the date the suspension or revocation takes effect in a conspicuous place on the licensed premises in a form prescribed by the Board. The notice must indicate that the license has been suspended or revoked by order of the Board, and must include any specific violation of the Maryland State Alcoholic Beverage Laws, and Rules and Regulations of the Board of License Commissioners. A person must not remove or alter the notice until the suspension period has expired, nor shall any notice of any kind be placed in, or about the premises indicating that the same has been closed for any other reason. The Board must have the premises inspected regularly during the suspension period for compliance with this regulation.
Rule 13: Fine in lieu of suspension or revocation
(a) In lieu of suspending or revoking an alcoholic beverage license for any cause for which the Board is permitted but not required to suspend or revoke a license pursuant to the provisions of Article 2B, Section 10-401 of the Annotated Code of Maryland, the Board may impose a fine for any such violation, subject to the following conditions:
(1) The Board determines that the public welfare and morals would not be impaired by allowing the licensee to operate during the suspension period, and that the payment of the fine will achieve the desired disciplinary purposes;
(2) The fine assessed does not exceed $20,000.00 as allowed by Article 2B, Section 16-507, for each case; and
(3) All fines collected under this provision must be deposited into the Montgomery County general fund.
(b) The Board, when it acts to impose a fine on the licensee, must prepare and issue a written resolution which must contain a statement of the facts and findings forming the basis for the decision, the vote of each member of the Board on the decision, and information on how to appeal the decision. A copy of the resolution must be hand-delivered; or sent by both certified mail, return receipt requested, and first class mail, postage prepaid to the licensee.
(c) The Board must issue a notice to stop selling alcoholic beverages to any licensed facility which does not pay the fine assessed by the due date in the show cause resolution. This notice remains in effect until the fine is paid in full or, at the Board's discretion, the notice is rescinded.
Rule 14: Motion for reconsideration
(a) Within ten (10) days after the Board issues a written decision on an application for an alcoholic beverage license or on a matter concerning a licensed premises, an applicant or a licensee may file a motion for reconsideration with the Board.
(b) The Board must at its next session decide by majority vote whether to grant or deny the motion for reconsideration.
(1) If the Board denies the motion for reconsideration, the Board's original decision remains in effect.
(2) If the Board grants the motion for reconsideration, the case is reopened and the Board may:
(i) order that another hearing on the case be scheduled;
(ii) issue a new decision amending its prior decision; or
(iii) retain its original decision.
(c) The filer of the motion for reconsideration must mail or otherwise deliver a copy of the motion to all parties of record.
(d) A motion for reconsideration does not stay the effect of the Board's decision unless the Board orders otherwise.
Rule 15: Appeals
A final decision by the Board on an application for an alcoholic beverage license or on a matter concerning a licensed premises may be appealed to the Circuit Court for Montgomery County, under the applicable Maryland Rules of Procedure governing administrative appeals. An appeal does not stay the effect of the Board's decision.
Rule 16: Stay pending appeal
(a) Upon the filing of an appeal and where there would be no immediate danger to the public health, safety, or welfare, the Board may stay the effect of its decision pending a final determination on appeal.
(b) A written application for a stay of the Board's decision must be filed, by the licensee, no later than 10 days after the date of the decision.
(1) The Board must take up a timely filed written application for a stay of the Board's decision at its next regularly scheduled meeting and issue its decision on the stay in writing within 5 business days thereafter. Notice of the Board's decision must be either hand-delivered or sent by both certified mail, return receipt requested, and first class mail, postage prepaid to the licensee.